Racking does simply mean siphoning into a new, clean and sanitized container. The point of racking is not to remove anything in suspension, but to get it off of the yeast mass that collects at the bottom after fermentation is finished. Prolonged exposure to the yeast (called lees in wine/cider making) has the potential to cause off flavors. You have a little less to worry about with cider since the final alcohol content is much lower than wine. At this point, there really isn't any point in filtering. Racking will get it off of the yeast mass. Long term bulk aging will eventually clear the cider.
As to your other question - time is the BEST way to remove yeast! The cider may stay cloudy for ~1 month, even after racking. Over time, more yeast will drop out. There isn't too much need for constant racking unless you are keeping the cider above 27 degrees C. Warm temperatures break down yeast faster and will cause off flavors (over time). Another great way to remove yeast is cold storage. Since I brew beer too, and keg the beer, I have the liberty of racking my ciders to a keg, sticking it in the kegerator and waiting. Cold temperatures will drop yeast out very quickly. There are a bunch of chemicals out there that are designed to stun yeast. I'd stay away from them unless you know exactly why you are doing it. I see a lot of people post that they added a metric ton of chemicals to clear their cider, and it still didn't work. Finally, there are some finings that will work. My favorite is gelatin. You can use any unflavored gelatin found at the store. Use about a tablespoon for 5 gallons. Proof it in warm water for 30 min. Heat it up to finish disloving it, but do not exceed 180F (82C) or you will end up with jelly. From there, dump it in the fermenter. Gelatin works best a cooler temps, but it will still be effective at room temperature.
Pectinase is an enzyme used to break down pectin found in fruit. If you are using store bought juice that is already clear, there is no need for it. If you are using fresh pressed juice, it won't hurt to use it. If the pectin in the fruit is not broken down, your cider will never clear.